MiFID II - Incidental services

The expansion of the licence obligation under MiFID II is an important part of the revision of MiFID I.

Commercial service providers that perform incidental investment services for their clients are not required to have a licence for this under the same conditions as under MiFID I. For example, certain services performed by notaries.

Licenses

New under MiFID II is the further specification of incidental services:

There is a close connection between a commercial service and an investment service provided to a client. The investment service must be secondary to the commercial service.

Providing incidental investment services is not a systematic source of income for the commercial service provider.

The commercial service provider does not advertise or generally promote providing investment services. The commercial service provider may only provide a description of these services to its client additional to the commercial service.